The EU should issue perpetual bonds

George Soros  |  Open Society Foundations  |  22 April 2020

European Commission President Ursula von der Leyen has announced that Europe will need about €1 trillion (US$1.1 trillion) to fight the COVID-19 pandemic. This money could be used to establish a European Recovery Fund. But where will the money come from?

I propose that the European Union should raise the money needed for the Recovery Fund by selling “perpetual bonds” on which the principal does not have to be repaid (although they can be repurchased or redeemed at the issuer’s discretion). Authorising this issue should be the first priority for the forthcoming European Council summit on 2...

Not yet a Member? It’s quick and free to join. Already a member? Please log in.

What's new with our live and on-demand continuing education, accreditation and certification programs.

Led by behavioural finance expert, Herman Brodie, the Behavioural Finance - Investment Decision-Making course will help you identify, analyse and evaluate the principal human preferences that influence decision-making in situations of uncertainty, so you can recognise and identify these preferences in others, to improve investment decision-making.